Need serious Introspection.

This refers to your editorial Rate Cut Helps, but growth pangs Linger ( ET dated 9/2/25). Despite giving tax relief to the middle class through the Budget of the GOI, and a rate cut in the Repo rate by 0.25% by the RBI in its policy rate, the public sentiments including market sentiments remain depressed  should be  a matter of serious concern for the policy makers. Unfortunately neither the fiscal policy nor the monetary policy find measures to give the much needed boost to kickstart the economy and provide animal spirits to go in for enhanced savings, massive investment, production , intensive employment etc. The major ills which continue to plague the  economy Viz high food inflation, widening inequality,, reluctance to provide the wage increase as suggested by the economic survey, ever increasing cost of production and cost of living thanks, to high interest rate, corruption, black money, some bottlenecks created by the irrational GST, laxity seen in the ease of doing business due to excessive regulatory requirements, and meaningful governance effectiveness affect the production, demand, pricing,  supply and other logistics involved. Even the very sentiments of the people to lead a peaceful, comfortable, affordable life seem to have  been adversely affected for reasons beyond the finance needing psychological,  infrastructural ,social  and technological change in the day to day life.Added to these, the  uncertainties and risks in Geo political scenario also seem to be depressing. Time to introspect at all levels of Legislation, Execution, Judiciary  and show the highest level of wisdom, knowledge, professionalism ,compassion, empathy and a very pragmatic approach to deal with economic issues keeping the ethical values in tact. What we need is good economics and equally good politics to keep the people motivated and realise the dream of an advanced economy by 2047.     

T.V.Gopalakrishnan

Bengaluru 

( This letter was sent to ET)